Shutterfly to buy photography company Lifetouch for $825 million

(Reuters) - Online retailer Shutterfly Inc said on Tuesday it would buy privately-held Lifetouch for $825 million in cash, gaining access to the company’s school photography customers.

Shares of Shutterfly surged 14.7 percent to $61.82 in trading after the bell.

Lifetouch photographs more than 25 million children annually during the fall picture day tradition, serving more than 10 million households. It had revenue of about $963.9 million for the fiscal year ended June 30, 2017.